RESTRICTED
145
170432
MDHIAN 7750
нивого /26
18SER 1990
RESTRICTED
FM UKREP BRUSSELS
TO IMMEDIATE FCO
TELNO 2513
OF 071824Z SEPTEMBER 90
теб
INFO PRIORITY EUROPEAN COMMUNITY POSTS, UKDEL OECD, UKMIS NEW YORK INFO ROUTINE WASHINGTON
IRAQ/KUWAIT SANCTIONS : MEETING OF AD HOC GROUP : 7 SEPTEMBER
SUMMARY
1. PRESIDENCY AND COMMISSION PUSH FRENCH IDEA FOR COMMISSION TO MONITOR COMMERCIAL TRANSACTIONS WITH THIRD COUNTRIES TO TRY TO SPOT ANY CIRCUMVENTION OF UN SANCTIONS DESPITE UK, DUTCH AND GERMAN RESERVES. INCONCLUSIVE DISCUSSION ON NON-TRADE RELATED SERVICES. COMMISSION GIVE FURTHER INFORMATION ON THEIR THINKING ON TREATMENT OF KUWAITI COMMERCIAL ORGANISATIONS IN EUROPE AND ON PERFORMANCE
BONDS.
DETAIL
FRENCH IDEAS ON MONITORING MEMBER STATES' TRADE IN AREA OF CONFLICT 2. FRANCE SAID THAT THEY HAD IN MIND AN INFORMAL AND FLEXIBLE SYSTEM WHICH WOULD PROVIDE FOR AN EXCHANGE OF INFORMATION ON CONTRACTS WHICH DID NOT FIT INTO A USUAL PATTERN OF TRADE, OR WERE SUSPECT IN OTHER WAYS, IN ORDER TO DETECT ATTEMPTS TO CIRCUMVENT THE UN SANCTIONS. THE COMMISSION SUPPORTED THE FRENCH IDEA AND CIRCULATED A SHORT PAPER SETTING OUT THEIR IDEAS ON HOW SUCH A SYSTEM MIGHT WORK (BY FAX TO FCO). THIS SUGGESTED THAT PARTICULAR ATTENTION SHOULD BE PAID NOT ONLY TO IRAQ'S NEIGHBOURS AND TO COUNTRIES WHICH WERE TRADITIONALLY ACTIVE IN TRADE IN THE REGION, EG CYPRUS, LEBANON AND THE UAE, BUT ALSO TO COUNTRIES WHICH. HAD POLITICAL OR ECONOMIC REASONS FOR MAINTAINING LINKS WITH IRAQ, EG YEMEN, CUBA, LIBYA, ETC. THEY PROPOSED A NETWORK OF NATIONAL CORRESPONDENTS WHO WOULD MAINTAIN CONTACT WITH THE COMMISSION.
3. THE UK, SUPPORTED BY THE NETHERLANDS AND, TO A LESSER EXTENT, GERMANY, SAID THAT THEY FULLY SUPPORTED THE OBJECTIVE OF ENSURING THAT UN SANCTIONS WERE STRICTLY ENFORCED. BUT THEY DID NOT THINK THE SYSTEM BEING PROPOSED WOULD BE EFFECTIVE. IT ALSO RISKED PLACING AN UNNECESSARY BUREAUCRATIC BURDEN ON ALREADY STRETCHED RESOURCES. THE NETHERLANDS DOUBTED WHETHER THEY HAD THE TECHNICAL OR LEGAL MEANS TO ACQUIRE THE NECESSARY INFORMATION IN THE SORT OF TIME-SCALE WHICH
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